A Japan-based holding company of Lotte Group has approved Lotte Group Chairman Shin Dong-bin’s resignation after a South Korean court found him guilty of massive corruption and influence peddling. 

Lotte Holdings held a board of directors meeting Wednesday in Tokyo and decided to accept Shin’s offer to quit as the chairman of the Japanese entity, which will be led solely by Tsukuda Takayuki, who had been co-CEO with Shin. 

Shin was arrested last week after the Seoul Central District Court handed him a two-and-a-half-year prison sentence for bribery in a case also involving ex-President Park Geun-hye and her longtime confidante Choi Soon-sil. 

It is customary within the Japanese business community that a CEO offers to resign when he or she is arrested or indicted for an illicit act. 

Lotte Holdings, however, decided to maintain Shin’s board membership and his vice chairman title.